key Findings as of November 1, 2024

Data from the State Revenue Service (SRS) of Latvia reveals a complex picture of tax debt as of November 1,⁣ 2024.A total of 1.548 ‍million euros in debts were deemed uncollectible, representing debts incurred by companies undergoing liquidation ⁣procedures.

Though, the SRS also identified a significant amount ‍of⁢ recoverable debt. ‍On the same ‍date,527.613 million euros were recognized as recoverable,broken down as follows:

• truly recoverable ⁢debts: 233.304 million euros
• Truly uncollectible debts: 294.309 million euros

of the ‍294.309 million euros classified as⁣ truly uncollectible, ⁢the vast majority – 294.241 million ‍euros – is attributable ‍to debtors ⁢lacking sufficient assets for collection. ⁣A smaller portion, 67,800 euros, is uncollectible due ‍to the expiration of the ⁣collection statute of limitations.

Regarding debt management, ‍repayment term extensions were granted for debts totaling 79.183 million euros, a decrease of 17.9% compared ‍to the beginning of the year. ‍ Furthermore, 213.806 million euros in debts were suspended, meaning the accrual ‍of overdue fines was halted, due to the⁤ insolvency of the debtor⁤ companies.

Total Tax Debt as of January 1, 2025

As of January 1, 2025, the total⁣ amount of‍ tax⁤ debt in Latvia reached 844.276 million⁤ euros. ⁤This figure represents the cumulative outstanding‍ tax liabilities across all taxpayers.